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HSBC Mortgage Issue
hklzx8
Posts: 1 Newbie
Please could someone advise on where I stand with thismortgage issue?
I took out a mortgage with HSBC last year. At the time, I thought it was a great deal:LTV 70% 2.49% + base = current APR of 2.99% for entire term HSBC – fee £1k
I have just noticed that, less than a year later, HSBC havenow changed the deal to the following: LTV 70% 1.89% + base = current APR of2.39% for entire term HSBC – fee £1k
In less than 12 months my mortgage seems to no longer becompetitive. Is there anything I can doabout this? I believe I will be able tomove to the new mortgage, but it seems a bit mean to charge another £1k bookingfee to do it…
Many thanks for any advice anyone can give!
I took out a mortgage with HSBC last year. At the time, I thought it was a great deal:LTV 70% 2.49% + base = current APR of 2.99% for entire term HSBC – fee £1k
I have just noticed that, less than a year later, HSBC havenow changed the deal to the following: LTV 70% 1.89% + base = current APR of2.39% for entire term HSBC – fee £1k
In less than 12 months my mortgage seems to no longer becompetitive. Is there anything I can doabout this? I believe I will be able tomove to the new mortgage, but it seems a bit mean to charge another £1k bookingfee to do it…
Many thanks for any advice anyone can give!
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Comments
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what happens if you swop and they then drop the rate to 1.69% + baseI am a Mortgage Broker
You should note that this site doesn't check my status as a Mortgage Broker, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
Cost of funding changes daily. Lenders amend rates daily.
You got what you asked for. If you no longer feel it is suitable then you need to meet the terms of your contract to change it.
What would you do if you filled up your car then discovered 2 days later there was a 2p per litre reduction? Would you expect the garage to take back the fuel?I am a Mortgage AdviserYou should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
and pay for the fuel to drive back to the garageI am a Mortgage Broker
You should note that this site doesn't check my status as a Mortgage Broker, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
I have had this with HSBC too, my original mortgage a year ago on the same LTV has dropped down considerably.
I have decided that it's not worth paying the fees (which I did on the first product) and since I have been keeping a keen eye on the HSBC web site and dropping down the rate on their fee free products, it costs nothing to do this just some time, I am now saving 0.60% against the fee paying rate 12 months ago.
In hindsight I should have gone fee free last year but we are all over qualified in hindsight!! If I were you I'd drop to a fee free product as it will more than likely be lower than your existing one.Mortgage Free Wannabe Light Bulb Moment (Early 2012, started May 2012)
Original Mortgage Amount - £147k (Oct 2005) / Term 27 years (To 2032)
Target to Pay off by 2026 by overpaying - Officially Mortgage Free June 2023!
Balance Reduction Progress: May12 £128k / Nov13 £120k / Dec15 £107k / Mar18 £87k / Mar21 £46k / Jun22 £28k / Jun23 £0!!0 -
In less than 12 months my mortgage seems to no longer becompetitive. Is there anything I can doabout this? I believe I will be able tomove to the new mortgage, but it seems a bit mean to charge another £1k bookingfee to do it…
HSBC have tightened their lending criteria in the past 12 months. So although the rates look better the number of people eligible to apply has fallen.
Pay the fee if you want to change products.0
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